London cab drivers 'warn of taxi shortage'

London taxi drivers have warned of a shortage of black cabs in the capital
during the festive season, one of the trade's busiest times of year.

Taxi hire companies have warned that demand is outstripping supply in the run-up to Christmas.Photo: GETTY

By Telegraph staff

9:01AM GMT 07 Nov 2012

Hire companies have warned that demand is outstripping supply in the run-up to Christmas, with some part-time drivers - who generally hire in November to work over the holidays - reporting long waiting lists or a complete absence of vehicles.

The decision to order 400 black cabs off the road because of a power steering fault pushed it over. The company was worth just £3m when its shares were suspended two weeks ago.

Last week, the company's administrators made 156 people redundant with immediate effect.

As well as the recalled cabs, hansom cabs that are 15 years or older are also being pulled off London's streets as part of a clean air strategy.

“We’ve got a perfect storm,” taxi driver Graham Spero told the FT. “All sorts of things have come together at the wrong time.”

Mercedes-Benz now claims around 40pc of the London taxi market, which was supplied solely by Manganese Bronze until 2008.

Mercedes told the FT that it had sold 40 cabs last month, compared with 18 in September. “This has not been sprung on the trade overnight,” said Peter Da Costa, whose company distributes Mercedes taxis. “There’s a shortage of cabs for people to rent, but not for people to buy.”